India Palm Oil HS1511 Import Data 2025 June Overview

India Palm Oil (HS 1511) 2025 June Import: Key Takeaways

India's palm oil imports under HS Code 1511 in June 2025 reveal a market heavily reliant on Indonesia, which supplied 43% of volume at standardized commodity-grade pricing, signaling high geographic concentration risk. The import landscape is dominated by a few major producers, with Indonesia, Malaysia, and Thailand accounting for over 93% of shipments, underscoring supply chain vulnerability. This analysis, covering June 2025, is based on cleanly processed Customs data from the yTrade database.

India Palm Oil (HS 1511) 2025 June Import Background

What is HS Code 1511?

HS Code 1511 covers palm oil and its fractions, whether or not refined, but not chemically modified. It is a critical commodity for India’s food processing, biofuel, and consumer goods industries, driven by its cost-effectiveness and versatility. Global demand remains stable due to its widespread use in cooking oils, packaged foods, and industrial applications.

Current Context and Strategic Position

In June 2025, India’s import policy for HS Code 1511 shifted from "Free" to "Restricted", requiring prior approval for palm oil imports under this category [TaxTMI]. This change reflects strategic adjustments to manage domestic supply chains and reduce dependency on foreign refined palm oil. India, as one of the world’s largest palm oil importers, relies heavily on shipments from Malaysia and Indonesia, making policy shifts like this critical for market stability. Vigilance is essential to navigate evolving trade regulations and tariff structures in 2025.

India Palm Oil (HS 1511) 2025 June Import: Trend Summary

Key Observations

In June 2025, India's palm oil imports under HS Code 1511 surged to 2.19 billion USD with a volume of 590.25 million kg, representing the highest monthly performance in the first half of the year. This spike highlights a robust import activity for India Palm oil HS Code 1511 Import 2025 June, driven by both value and volume increases.

Price and Volume Dynamics

The month-over-month growth from May to June shows a 19% rise in import value, while volume remained nearly flat, suggesting potential price firmness or shifts in product mix within the palm oil category. Quarter-over-quarter, Q2 2025 imports totaled approximately 4.96 billion USD, up from 3.37 billion USD in Q1, indicating strong seasonal stock replenishment ahead of typical high-demand periods in the latter half of the year. For palm oil, such cycles often involve pre-harvest inventory building to meet steady domestic consumption in food and industrial sectors.

External Context and Outlook

The import surge in June can be partly attributed to anticipatory buying ahead of policy changes, as the Directorate General of Foreign Trade (DGFT) announced a shift from "Free" to "Restricted" import status for HS Code 1511 items effective late November 2025 [DGFT Notification]. This policy adjustment likely prompted importers to accelerate purchases to secure supplies before potential restrictions and higher compliance costs, shaping a volatile outlook for the remainder of 2025.

India Palm Oil (HS 1511) 2025 June Import: HS Code Breakdown

Product Specialization and Concentration

In June 2025, India's import of palm oil under HS Code 1511 is heavily concentrated in crude palm oil, specifically sub-code 15111000 for vegetable oils; palm oil and its fractions, crude, not chemically modified. According to yTrade data, this product dominates with over 85% of the value share and a unit price of 3.76 USD per kilogram. An anomaly is noted with sub-code 15119010, which has a unit price of 10.00 USD per kilogram, indicating a potential premium or specialized product, and it is excluded from further analysis.

Value-Chain Structure and Grade Analysis

The non-anomalous sub-codes fall into two main groups based on refinement level. The first group includes 15119020 and 15119030, representing refined palm oil with unit prices of 3.53 and 2.00 USD per kilogram, suggesting standard processed grades. The second group, such as 15119090, has a unit price of 5.71 USD per kilogram, indicating slightly higher value-add. This structure shows that India's palm oil imports under HS Code 1511 are primarily fungible bulk commodities, traded based on grade and processing stage rather than brand differentiation.

Strategic Implication and Pricing Power

The high concentration in crude palm oil gives India leverage in bulk purchasing, but the shift to restricted import policy for refined palm oil under HS Code 1511 90, as per [DGFT Notification], may reduce import flexibility and increase costs for refined products. Importers should focus on securing crude supplies and adapting to regulatory changes to maintain pricing power in the 2025 market.

Check Detailed HS 1511 Breakdown

India Palm Oil (HS 1511) 2025 June Import: Market Concentration

Geographic Concentration and Dominant Role

In June 2025, India's palm oil imports under HS Code 1511 were heavily concentrated, with Indonesia dominating as the top supplier, accounting for 42.73% of import value and 43.96% of weight. The slight disparity where value ratio is lower than weight ratio suggests that Indonesia supplies palm oil at a consistent, standard commodity grade, with unit prices likely reflecting bulk market rates rather than premium products. This pattern indicates a reliance on high-volume, low-cost sourcing from established producers for India's import needs in this period.

Partner Countries Clusters and Underlying Causes

The partner countries form three clear clusters based on import patterns. First, Indonesia, Malaysia, and Thailand together represent over 93% of the value and weight, driven by their status as major global palm oil producers with efficient export infrastructures and geographic proximity to India. Second, Papua New Guinea and Cambodia show smaller but notable shares, possibly due to emerging trade relationships or niche market entries, though their lower ratios indicate less refined or bulk shipments. Third, Nepal and Sierra Leone have minimal value contributions despite some quantity, likely because they supply lower-grade or crude palm oil, often through informal or less efficient channels.

Forward Strategy and Supply Chain Implications

The shift to a restricted import policy for HS Code 1511, as reported by [TaxTMI], means importers must now secure government approvals, potentially causing delays and higher costs. To mitigate risks, companies should diversify sources beyond dominant suppliers like Indonesia and Malaysia, explore contracts with secondary clusters for backup, and invest in quality checks to comply with new regulations. This policy change underscores the need for agile supply chain planning to maintain steady palm oil flows into India.

Table: India Palm Oil (HS 1511) Top Partner Countries (Source: yTrade)

Get Complete Partner Countries Profile

India Palm Oil (HS 1511) 2025 June Import: Action Plan for Palm Oil Market Expansion

Strategic Supply Chain Overview

India Palm oil Import 2025 June under HS Code 1511 is a bulk commodity market. Price is driven by crude palm oil grade dominance and Indonesia’s high-volume supply. Recent policy shifts to restricted imports for refined palm oil add regulatory risk. Supply chain implications focus on securing crude supply security and adapting to new licensing needs. High buyer concentration means reliance on few large importers increases vulnerability to disruptions.

Action Plan: Data-Driven Steps for Palm oil Market Execution

• Use HS Code 1511 sub-code data to prioritize sourcing of crude palm oil (15111000) over refined grades. This avoids higher costs and licensing delays under new restrictions.
• Analyze buyer frequency reports to lock in long-term contracts with high-value, high-frequency importers. This ensures stable demand and reduces market entry risks.
• Diversify sourcing beyond Indonesia and Malaysia using trade data to identify secondary suppliers like Papua New Guinea. This mitigates geopolitical and supply chain disruptions.
• Monitor regulatory updates for HS Code 1511 and adjust import documentation in real-time. This prevents customs delays and maintains compliance with India’s changing policies.
• Leverage unit price analytics to negotiate bulk purchase discounts for crude palm oil. This capitalizes on India’s leverage in commodity buying and improves profit margins.

Take Action Now —— Explore India Palm oil Import Data

Frequently Asked Questions

Q1. What is driving the recent changes in India Palm oil Import 2025 June?

India's palm oil imports surged to 2.19 billion USD in June 2025, driven by anticipatory buying ahead of policy shifts. The government's move to restrict imports under HS Code 1511 likely prompted stockpiling, creating volatility in trade volumes and prices.

Q2. Who are the main partner countries in this India Palm oil Import 2025 June?

Indonesia dominates as the top supplier, accounting for 42.73% of import value, followed by Malaysia and Thailand. Together, these three countries represent over 93% of India's palm oil imports by value and weight.

Q3. Why does the unit price differ across India Palm oil Import 2025 June partner countries?

Price differences stem from product grades—crude palm oil (15111000) averages 3.76 USD/kg, while refined variants like 15119090 command 5.71 USD/kg. Indonesia's lower value-to-weight ratio confirms its focus on bulk commodity-grade supply.

Q4. What should importers in India focus on when buying Palm oil?

Importers must prioritize securing crude palm oil supplies from dominant high-frequency buyers (94.65% market share) while adapting to new licensing requirements under restricted import policies. Diversifying sources beyond Indonesia and Malaysia can mitigate regulatory risks.

Q5. What does this India Palm oil import pattern mean for overseas suppliers?

Suppliers in Indonesia and Malaysia benefit from stable, high-volume demand but face pressure to comply with India's new import restrictions. Emerging partners like Papua New Guinea could gain traction as importers seek backup sources.

Q6. How is Palm oil typically used in this trade flow?

India's imports are primarily fungible bulk commodities for food and industrial use, traded based on refinement level (crude vs. processed). The dominance of crude palm oil (85% share) reflects its role in large-scale manufacturing and domestic consumption.